Trump Adviser Slams NY Fed Tariff Study as "Worst Paper I've Ever Seen"

Kevin Hassett, director of the White House's National Economic Council, says the paper's authors should be "disciplined" for their "shoddy scholarship."

Published on Feb. 21, 2026

Got story updates? Submit your updates here. ›

Kevin Hassett, a top economic adviser to President Trump, harshly criticized a recent New York Federal Reserve research paper that argued the costs of Trump's tariffs are borne mostly by Americans, rather than foreigners as the administration has claimed. Hassett called the paper "an embarrassment" and "the worst paper I've ever seen in the history of the Federal Reserve System," saying the authors should be "disciplined" for their poor analysis.

Why it matters

The New York Fed paper's findings contradict the Trump administration's longstanding position that tariffs are paid by foreign exporters, not American consumers. Hassett's strong rebuke of the study reflects the ongoing debate over the economic impacts of the administration's trade policies.

The details

The New York Fed paper argued that Trump's large import tax increases are borne by those in the US, rather than by foreigners, as the administration has long claimed. Hassett, the director of the White House's National Economic Council, said the researchers have "put out a conclusion which has created a lot of news that's highly partisan based on analysis that wouldn't be accepted in a first semester econ class." He said the paper is "an embarrassment" and "the worst paper I've ever seen in the history of the Federal Reserve System" and that "the people associated with this paper should presumably be disciplined" for writing it.

  • The New York Fed paper was published on February 18, 2026.

The players

Kevin Hassett

A top economic adviser to President Trump and the director of the White House's National Economic Council.

New York Federal Reserve

The regional Federal Reserve bank that published the research paper Hassett criticized.

Got photos? Submit your photos here. ›

What they’re saying

“The paper is an embarrassment. It's, I think, the worst paper I've ever seen in the history of the Federal Reserve System and the people associated with this paper should presumably be disciplined.”

— Kevin Hassett, Director, White House National Economic Council (CNBC)

The takeaway

This exchange highlights the ongoing political debate over the economic impacts of the Trump administration's trade policies, with the White House continuing to push back against research that contradicts its claims about the effects of tariffs on American consumers.